CompUSA 2008 Annual Report Download - page 53

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18
Item 3. Legal Proceedings.
Kevin Vukson v. TigerDirect, Inc., OnRebate.com Inc. and Systemax Inc.
On October 18, 2007, Kevin Vukson filed a national class action complaint in U.S. District Court against
TigerDirect, Inc., OnRebate.com Inc. and Systemax Inc. on behalf of himself and all OnRebate customers
whose rebates were denied or delayed. (OnRebate.com Inc. is a rebate processing company owned by
Systemax.). Vukson’ s complaint (as amended) alleges that since 2004 Systemax, TigerDirect and
OnRebate engaged in a conspiracy to engage in deceptive and unfair rebate practices. Vukson alleges
counts for violation of state consumer protection statutes, conspiracy, and unfair rebate practices. On
February 11, 2009 the Court dismissed Vukson’ s complaint with leave to file an amended complaint by
February 19, 2009 but ordered that any amended complaint not include a request for punitive damages.
On February 19, 2009 Vukson filed an amended complaint with no request for punitive damages, as
ordered by the Court. The Company will continue to vigorously defend this case.
State of Florida, Office of the Attorney General Subpoena
On January 2, 2008 the Company received a subpoena for documents from the Florida Attorney General’ s
Office relating to the payment and processing of rebates by the Company. The Company received
subpoenas for additional documents on January 30, 2008 and on August 25, 2008. The Company is
cooperating with the Florida Attorney General’ s investigation and has provided a substantial number of
documents in response to the subpoenas.
Other Matters
Systemax is a party to various pending legal proceedings and disputes arising in the normal course of
business, including those involving commercial, employment, tax and intellectual property related claims,
none of which, in management’ s opinion, is anticipated to have a material adverse effect on our
consolidated financial statements.
Item 4. Submission of Matters to a Vote of Security Holders.
None.